With growing rental demand, strong yields and large-scale regeneration, Liverpool and Manchester have become leading cities for UK property investment. Whether you’re a UK-based landlord or a foreign investor looking to diversify your portfolio, understanding how to boost ROI in the North is vital.
Why Liverpool and Manchester are property investment hotspots
Over the last 12 months, the average rent collected by landlords for homes let in Liverpool and Manchester was £1,114 per month. This is a +6.4% increase on the previous 12 month period.*
Both cities offer high rental yields and capital growth potential, with average yields of 6-8%. Studio flats will return the highest ROI with up to 11.6% potential yield.*
- Liverpool: Areas like Kensington and the Baltic Triangle are popular with students due to their close proximity to the city centre, which is why Liverpool remains a favourite for buy-to-let investors. It also has a strong professional rental demand.
- Manchester: Known as a large tech and finance hub and with its regeneration areas (e.g., Ancoats, Salford Quays) and premium tenant base. Property investment in Manchester often commands higher rental rates and longer tenancy durations.
If you’re comparing Liverpool vs Manchester property investment, the decision often comes down to investment goals: Liverpool will secure affordability and high yields; Manchester will more likely guarantee premium tenants and long-term growth.
Property improvements that drive ROI
Strategic renovations are key to boosting property value and rental returns in both cities:
- Liverpool: Target EPC upgrades, loft conversions, and HMO-friendly layouts in areas with student demand.
- Manchester: Focus on modern interiors and smart home tech for professional lets, especially near the city centre or MediaCityUK.
In Liverpool and Manchester, we recommend investing in properties where minor updates drive significant rental uplift. It is all about avoiding overspending on improvements to ensure you don’t invest beyond the property’s ceiling value.
Tenant selection & property management
The quality of your tenant directly affects ROI. Here’s how to approach tenant selection in both markets:
- Liverpool: Match property type to student or young professional demand, consider areas like Wavertree or Ropewalks.
- Manchester: Professionals dominate demand, therefore focus on proximity to transport links, business hubs, and amenities.
To streamline operations, partner with reliable property management companies in Manchester or Liverpool. At Qube Residential, we take the stress out of property ownership by handling every aspect of your rental investment. From sourcing and screening reliable tenants to managing maintenance, legal compliance and finances, our expert team ensures your property performs at its best. We help landlords from the UK and overseas investors maximise rental income, reduce void periods, and maintain long-term asset value — all while delivering a seamless experience for both you and your tenants.
Market timing & strategic buying
Timing your purchase or sale in Liverpool and Manchester can significantly affect returns:
- Liverpool: Look for opportunities in pre-regeneration areas (e.g. Anfield or Toxteth) where capital appreciation is forecasted.
- Manchester: Monitor emerging areas around the Oxford Road Corridor and Northern Gateway.
Buying during quieter market periods (e.g., late Q4) or ahead of regeneration announcements can yield better value.
Foreign buyers guide to buying property in Liverpool & Manchester
Overseas investors are increasingly targeting both cities due to affordability and growth potential. Here’s what you need to know:
- Understand UK taxes, legal process and financing options
- Work with local solicitors and trusted agents like Qube Residential
- Choose well-managed properties with high tenant demand
Whether you’re investing in the creative areas of Manchester or the up-and-coming postcodes of Liverpool, success comes down to smart strategy:
- Update your property to attract the right tenants
- Use a vetted property managing agents in Manchester or Liverpool like Qube Residential
- Time your purchases based on regeneration and market demand
Both cities offer unique advantages — and when paired together, they form a resilient and diversified UK property investment portfolio.
*Source: Dataloft Rental Market Analytics by PriceHubble, June 2025
